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S.B. 11





Sponsor: Beverly Ann Evans

             5      This act modifies provisions related to child care in Utah. The act modifies definitions
             6      related to providing child care services. It modifies the functions and duties of the Office
             7      of Child Care and requires an annual report by the office on the status of child care in
             8      the state. The act increases the membership of the Child Care Advisory Committee and
             9      provides specific responsibilities for the committee. The act modifies the roles and
             10      relationships of individuals and entities who have statutory responsibilities related to the
             11      Child Care Expendable Trust Fund and makes certain technical changes.
             12      This act affects sections of Utah Code Annotated 1953 as follows:
             13      AMENDS:
             14          26-39-102, as last amended by Chapter 77, Laws of Utah 1999
             15          26-39-104, as last amended by Chapter 77, Laws of Utah 1999
             16          35A-3-102, as last amended by Chapter 9, Laws of Utah 2001
             17          35A-3-201, as renumbered and amended by Chapter 375, Laws of Utah 1997
             18          35A-3-203, as last amended by Chapter 143, Laws of Utah 2001
             19          35A-3-205, as last amended by Chapter 1, Laws of Utah 1998
             20          35A-3-206, as last amended by Chapter 256, Laws of Utah 2002
             21      Be it enacted by the Legislature of the state of Utah:
             22          Section 1. Section 26-39-102 is amended to read:
             23           26-39-102. Definitions.
             24          As used in this chapter:
             25          (1) "Child" means:
             26          (a) a child of a person other than the provider of child care;
             27          (b) a child of a licensed or certified residential child care provider who is under the age

             28      of four; and
             29          (c) a child of an employee or owner of a licensed child care center who is under the age
             30      of four.
             31          (2) "Child care" means continuous care and supervision of five or more children [under
             32      14 years of age] through age 12 and children with disabilities through age 18, in lieu of care
             33      ordinarily provided by parents in their own home, for less than 24 hours a day, for direct or
             34      indirect compensation.
             35          (3) "Child care program" means a child care facility or program operated by a person
             36      [pursuant to] who holds a license issued in accordance with this chapter.
             37          (4) "Residential child care" means child care provided in the home of a provider.
             38          Section 2. Section 26-39-104 is amended to read:
             39           26-39-104. Duties of the department.
             40          (1) With regard to child care programs licensed [pursuant to] under this chapter, the
             41      department may:
             42          (a) make and enforce rules to implement [the provisions of] this chapter and, as
             43      necessary to protect children's common needs for a safe and healthy environment, to provide
             44      for:
             45          (i) adequate facilities and equipment; and
             46          (ii) competent caregivers considering the age of the children and the type of program
             47      offered by the licensee;
             48          (b) make and enforce rules necessary to carry out the purposes of this chapter, in the
             49      following areas:
             50          (i) requirements for applications, the application process, and compliance with other
             51      applicable statutes and rules;
             52          (ii) documentation and policies and procedures that providers shall have in place in
             53      order to be licensed, in accordance with Subsection (1)(a);
             54          (iii) categories, classifications, and duration of initial and ongoing licenses;
             55          (iv) changes of ownership or name, changes in licensure status, and changes in
             56      operational status;
             57          (v) license expiration and renewal, contents, and posting requirements;
             58          (vi) procedures for inspections, complaint resolution, disciplinary actions, and other

             59      procedural measures to encourage and assure compliance with statute and rule; and
             60          (vii) guidelines necessary to assure consistency and appropriateness in the regulation
             61      and discipline of licensees; and
             62          (c) set and collect licensing and other fees in accordance with Section 26-1-6 .
             63          (2) (a) The department may not regulate educational curricula, academic methods, or
             64      the educational philosophy or approach of the provider.
             65          (b) The department shall allow for a broad range of educational training and academic
             66      background in certification or qualification of child day care directors.
             67          (3) In licensing and regulating child care programs, the department shall reasonably
             68      balance the benefits and burdens of each regulation and, by rule, provide for a range of
             69      licensure, depending upon the needs and different levels and types of child care provided.
             70          (4) Notwithstanding the definition of "child" in Subsection 26-39-102 (1), the
             71      department shall count children [under the age of 14] through age 12 and children with
             72      disabilities through age 18 toward the minimum square footage requirement for indoor and
             73      outdoor areas, including the child of:
             74          (a) a licensed residential child care provider; or
             75          (b) an owner or employee of a licensed child care center.
             76          Section 3. Section 35A-3-102 is amended to read:
             77           35A-3-102. Definitions.
             78          [As] Unless otherwise specified, as used in this chapter:
             79          (1) "Applicant" means a person who requests assistance under this chapter.
             80          (2) "Average monthly number of families" means the average number of families who
             81      received cash assistance on a monthly basis during the previous federal fiscal year, starting
             82      from October 1, 1998 to September 30, 1999, and continuing each year thereafter.
             83          (3) "Cash assistance" means a monthly dollar amount of cash a client is eligible to
             84      receive under Section 35A-3-302 .
             85          (4) "Child care services" means care of a child for a portion of the day that is less than
             86      24 hours in a qualified setting, as defined by rule, by a responsible person who is not the child's
             87      parent or legal guardian.
             88          (5) "Date of enrollment" means the date on which the applicant was approved as
             89      eligible for cash assistance.

             90          (6) "Director" means the director of the division.
             91          (7) "Diversion" means a single payment of cash assistance under Section 35A-3-303 to
             92      a client who is eligible for but does not require extended cash assistance under Part 3, Family
             93      Employment Program.
             94          (8) "Division" means the Division of Employment Development.
             95          (9) "Education or training" means:
             96          (a) basic remedial education;
             97          (b) adult education;
             98          (c) high school education;
             99          (d) education to obtain the equivalent of a high school diploma;
             100          (e) education to learn English as a second language;
             101          (f) applied technology training;
             102          (g) employment skills training; or
             103          (h) on-the-job training.
             104          (10) "Full-time education or training" means training on a full-time basis as defined by
             105      the educational institution attended by the parent client.
             106          (11) "General assistance" means financial assistance provided to a person who is not
             107      otherwise eligible for cash assistance under Part 3, Family Employment Program, because that
             108      person does not live in a family with a related dependent child.
             109          (12) "Parent client" means a person who enters into an employment plan with the
             110      division to qualify for cash assistance under Part 3, Family Employment Program.
             111          (13) (a) "Passenger vehicle" means a self-propelled, two-axle vehicle intended
             112      primarily for operation on highways and used by an applicant or client to meet basic
             113      transportation needs and has a fair market value below 40% of the applicable amount of the
             114      federal luxury passenger automobile tax established in 26 U.S.C. Sec. 4001 and adjusted
             115      annually for inflation.
             116          (b) "Passenger vehicle" does not include:
             117          (i) a commercial vehicle, as defined in Section 41-1a-102 ;
             118          (ii) an off-highway vehicle, as defined in Section 41-1a-102 ; or
             119          (iii) a motor home, as defined in Section 13-14-102 .
             120          (14) "Plan" or "state plan" means the state plan submitted to the Secretary of the United

             121      States Department of Health and Human Services to receive funding from the United States
             122      through the Temporary Assistance for Needy Families Block Grant.
             123          (15) "Single minor parent" means a person under 18 years of age who is not married
             124      and has a minor child in [his] the person's care and custody.
             125          Section 4. Section 35A-3-201 is amended to read:
             126           35A-3-201. Definitions.
             127          As used in this part:
             128          (1) "Child care" means the services referred to in Subsection 35A-3-102 (4) provided
             129      for:
             130          (a) children through age 12; and
             131          (b) children with disabilities through age 18.
             132          (2) "Child care provider association" means an association:
             133          (a) that has functioned as a child care provider association in the state for at least three
             134      years; and
             135          (b) is affiliated with a national child care provider association.
             136          [(1)] (3) "Committee" means the Child Care Advisory Committee created in Section
             137      35A-3-205 .
             138          [(2)] (4) "Director" means the director of the Office of Child Care.
             139          [(3)] (5) "Office" means the Office of Child Care created in Section 35A-3-202 .
             140          Section 5. Section 35A-3-203 is amended to read:
             141           35A-3-203. Functions and duties of office -- Annual report.
             142          The office shall:
             143          (1) assess child care needs throughout the state on an ongoing basis and focus its
             144      activities on helping to meet those needs, with highest identified needs being addressed first;
             145          (2) provide child care subsidy services for income-eligible children through age 12 and
             146      for income-eligible children with disabilities through age 18;
             147          (3) use its resources to encourage the development and enhancement of child care
             148      throughout the state;
             149          [(1)] (4) provide information:
             150          (a) to employers for the development of options for child care in the work place; and
             151          (b) for educating the public in obtaining quality child care;

             152          [(2)] (5) coordinate services for quality child care training and child care resource and
             153      referral core services;
             154          [(3)] (6) apply for, accept, or expend gifts or donations from public or private sources;
             155          [(4)] (7) provide administrative support services to the committee;
             156          [(5)] (8) work collaboratively with the following for the delivery of quality child care
             157      and early childhood programs, and school age programs [in] throughout the state:
             158          (a) the State Board of Education;
             159          (b) the Department of Community and Economic Development; and
             160          (c) the Department of Health;
             161          [(6)] (9) research child care programs and public policy that will improve quality and
             162      accessibility and that will further the purposes of the office and child care, early childhood
             163      programs, and school age programs; [and]
             164          [(7)] (10) provide planning and technical assistance for the development and
             165      implementation of programs in communities that lack child care, early childhood programs,
             166      and school age programs; [and]
             167          [(8)] (11) provide organizational support for the establishment of nonprofit
             168      organizations approved by the Child Care Advisory Committee, created in Section
             169      35A-3-205 [.]; and
             170          (12) provide a written report on the status of child care in Utah to the Legislature by
             171      November 1 of each year through the Workforce Services and Community and Economic
             172      Development Interim Committee.
             173          Section 6. Section 35A-3-205 is amended to read:
             174           35A-3-205. Creation of committee.
             175          (1) There is created a Child Care Advisory Committee.
             176          (2) The committee shall counsel and advise the office in fulfilling its statutory
             177      obligations[.] to include:
             178          (a) a review of and recommendations on the office's annual budget;
             179          (b) recommendations on how the office might best respond to child care needs
             180      throughout the state; and
             181          (c) recommendations on the use of new monies that come into the office, including
             182      those for the Child Care Fund.

             183          (3) The committee [shall be] is composed of [13] the following members [as follows],
             184      with special attention given to insure diversity and representation from both urban and rural
             185      groups:
             186          (a) one expert in early childhood development [appointed by the executive director in
             187      accordance with Subsection (4)];
             188          (b) one child care provider who operates a center [appointed by the executive director
             189      in accordance with Subsection (4)];
             190          (c) one child care provider who operates a family child care business [appointed by the
             191      executive director in accordance with Subsection (4)];
             192          (d) one parent [of preschool or elementary school-aged children appointed by the
             193      executive director in accordance with Subsection (4)] who receives a child care subsidy from
             194      the office and is representative of single-parent households with children through age 12;
             195          (e) one representative of two-parent households with children through age 12 using
             196      child care;
             197          [(e)] (f) one representative from the public at-large [appointed by the director in
             198      accordance with Subsection (4)];
             199          [(f)] (g) one representative of the State Office of Education;
             200          [(g)] (h) one representative of the Department of Health;
             201          (i) one representative of the Department of Human Services;
             202          (j) one representative of the Department of Community and Economic Development;
             203          [(h)] (k) two representatives from the corporate community [appointed by the
             204      executive director in accordance with Subsection (4)], one who is a recent "Family Friendly"
             205      award winner and who received the award because of efforts in the child care arena;
             206          [(i)] (l) two representatives from the small business community [appointed by the
             207      executive director in accordance with Subsection (4)];
             208          [(j)] (m) one representative from child care advocacy groups [appointed by the
             209      executive director in accordance with Subsection (4); and];
             210          [(k) one representative from the Division of Employment Development appointed by
             211      the executive director.]
             212          (n) one representative of children with disabilities;
             213          (o) one representative from the state Head Start Association appointed by the

             214      association;
             215          (p) one representative from each child care provider association; and
             216          (q) one representative of a child care resource and referral center appointed by the
             217      organization representing child care resource and referral agencies.
             218          [(4) Of those members appointed by the executive director under Subsection (3), with
             219      the exception of the representative from the Division of Employment Development, no more
             220      than five may be from the same political party.]
             221          (4) (a) The executive director shall appoint the members designated in Subsections
             222      (3)(a) through (f) and (k) through (n).
             223          (b) The head of the respective departments shall appoint the members referred to in
             224      Subsections (3)(g) through (j).
             225          (c) Each child care provider association shall appoint its respective member referred to
             226      in Subsection (3)(p).
             227          (5) (a) Except as required by Subsection (5)(b), as terms of current committee members
             228      expire, the [executive director] appointing authority shall appoint each new member or
             229      reappointed member to a four-year term.
             230          (b) Notwithstanding the requirements of Subsection (5)(a), the [executive director]
             231      appointing authority shall, at the time of appointment or reappointment, adjust the length of
             232      terms to ensure that the terms of committee members are staggered so that approximately half
             233      of the committee is appointed every two years.
             234          (6) When a vacancy occurs in the membership for any reason, including missing three
             235      consecutive meetings where the member has not been excused by the chair prior to or during
             236      the meeting, the replacement shall be appointed for the unexpired term.
             237          (7) A majority of the members constitutes a quorum for the transaction of business.
             238          (8) (a) The executive director shall select a chair from the committee membership.
             239      [The chair's term of office expires on April 1 of each year and a]
             240          (b) A chair may serve no more than two one-year terms as chair.
             241          (9) (a) [(i)] Members who are not government employees may not receive
             242      compensation or benefits for their services, but may receive per diem and expenses incurred in
             243      the performance of the member's official duties at the rates established by the Division of
             244      Finance under Sections 63A-3-106 and 63A-3-107 .

             245          [(ii) Members may decline to receive per diem and expenses for their service.]
             246          (b) [(i)] State government officer and employee members who do not receive salary,
             247      per diem, or expenses from their agency for their service may receive per diem and expenses
             248      incurred in the performance of their official duties from the committee at the rates established
             249      by the Division of Finance under Sections 63A-3-106 and 63A-3-107 .
             250          [(ii)] (c) [State government officer and employee members] Members identified in
             251      Subsections (9)(a) and (b) may decline to receive per diem and expenses for their service.
             252          Section 7. Section 35A-3-206 is amended to read:
             253           35A-3-206. Restricted special revenue fund -- Use of monies -- Committee and
             254      director duties -- Restrictions.
             255          (1) There is created a restricted special revenue fund known as the "Child Care Fund."
             256          (2) The [executive] director of the office shall administer the fund under the direction
             257      of the committee.
             258          (3) (a) The office may form nonprofit corporations or foundations controlled by the
             259      director of the office and the committee to aid and assist the office in attaining its charitable,
             260      research, and educational objectives.
             261          (b) The nonprofit corporations or foundations may receive and administer Legislative
             262      appropriations, government grants, contracts, and private gifts to carry out their public
             263      purposes.
             264          [(3)] (4) The fund shall be used to accept monies designated for child care initiatives
             265      improving the quality, affordability, or accessibility of child care.
             266          [(4)] (5) The monies in the fund that are not restricted to a specific use under federal
             267      law or by donors may not be expended without approval of the committee.
             268          [(5) There shall be deposited into the fund money from numerous sources including
             269      grants, private foundations, or individual donors.]
             270          (6) The state treasurer shall invest the monies in the fund [shall be invested by the state
             271      treasurer pursuant to] under Title 51, Chapter 7, State Money Management Act, except that all
             272      interest or other earnings derived from the fund monies shall be deposited in the fund.
             273          (7) The monies in the fund may not be used for administrative expenses of the
             274      [department] office normally provided for by legislative appropriation.
             275          (8) The committee shall:

             276          (a) advise the director of the office on child care needs in the state and on relevant
             277      operational aspects of any grant, loan, or revenue collection program established under this
             278      part;
             279          (b) recommend specific child care projects to the director of the office;
             280          (c) recommend policy and procedures for administering the fund;
             281          (d) make recommendations on grants, loans, or contracts from the fund for any of the
             282      child care activities authorized under this part;
             283          (e) establish the criteria by which loans and grants will be made;
             284          (f) determine the order in which approved child care projects will be funded;
             285          (g) make recommendations regarding the distribution of money from the fund in
             286      accordance with the procedures, conditions, and restrictions placed upon the monies by the
             287      donors; and
             288          (h) have joint responsibility with the office to solicit public and private funding for the
             289      fund.
             290          (9) Fund monies [may] shall be used for any of the following activities:
             291          (a) training of child care providers;
             292          (b) scholarships and grants for child care providers' professional development;
             293          (c) child care public awareness and consumer education services;
             294          (d) child care provider recruitment;
             295          (e) Office of Child Care sponsored activities;
             296          (f) matching money for obtaining grants; or
             297          (g) other activities that will assist in the improvement of child care quality,
             298      affordability, or accessibility.
             299          (10) The [executive] director of the office, with the consent of the committee and the
             300      executive director, may grant, lend, or contract fund money for child care purposes to:
             301          (a) local governments;
             302          (b) nonprofit community, charitable, or neighborhood-based organizations;
             303          (c) regional or statewide nonprofit organizations; or
             304          (d) child care providers.
             305          (11) Preference may be given but awards may not be limited to applicants for fund
             306      monies that demonstrate any of the following:

             307          (a) programmatic or financial need;
             308          (b) diversity of clientele or geographic location; and
             309          (c) coordination with or enhancement of existing services.
             310          (12) The executive director or the executive director's designee shall monitor the
             311      activities of the recipients of grants, loans, or contracts issued from the fund on an annual basis
             312      to ensure compliance with the terms and conditions imposed on the recipient by the fund.
             313          (13) The entities receiving grants, loans, or contracts shall provide the [executive]
             314      director of the office with an annual accounting of how the monies they received from the fund
             315      have been spent.
             316          (14) (a) The [executive] director of the office shall make an annual report to the
             317      committee regarding the status of the fund and the programs and [the] services funded by the
             318      fund.
             319          (b) The report shall be included as a component of the report to the Legislature
             320      required under Subsection 35A-3-203 (12).

Legislative Review Note
    as of 11-20-02 4:13 PM

A limited legal review of this legislation raises no obvious constitutional or statutory concerns.

Office of Legislative Research and General Counsel

Interim Committee Note
    as of 12-12-02 1:40 PM

The Workforce Services and Community and Economic Development Interim Committee
recommended this bill.

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